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The founders and owners of a private company have funded it through the following rounds of investment:
The owners decide to take the company public through an IPO,issuing 1 million new shares.Assuming that they successfully complete the IPO,the net income for the next year is estimated to be $5 million.The price of shares is set using average price-earnings ratios for similar businesses of 17.0.
-What portion of the company will be owned by the angel investor after the IPO?
Experience
The knowledge or practical wisdom gained from direct participation in events or activities.
Drive-Reduction Theory
A theory of motivation proposing that the primary purpose of behavior is the reduction of drives, which are defined as innate biological needs that demand satisfaction.
Getting Food
The process or act of obtaining food for consumption, which is essential for energy and survival in both humans and animals.
Going Jogging
A physical activity involving running at a steady, gentle pace as a form of cardiovascular exercise.
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